How Long Should My Car Loan Be for ?

Car loans have three core pieces: The principal, or how much you’re borrowing; the interest rate, or how much more you’ll pay on top of the principal to purchase auto financing; and the term, which is how long you’ll be paying off your car. And while that last part may seem simple, in truth how long you take to pay off your car can have an enormous effect on your finances. Why Is My Car Loan Term Important? Many of us think of the car loan term as just...

Why You Should Think Twice Before Settling on a Long Auto Loan

Auto loans are getting longer and longer. Just a decade ago, a five year auto loan was unusually long; now, six and seven-year loans are becoming more popular, with nearly a quarter of all new loans using these new, longer terms. But while they’re tempting, they’re not for everybody, and customers should think carefully before they sign. Long-Term Loans, Short-Term Thinking Longer terms are popular because they cut down your overall monthly payment....

4 Huge Reasons Auto Loans Just Make Sense

Personal finance experts claim when it comes to purchasing a vehicle, cash is the best way to go. Their reasoning is that by using cash, consumers do not pay any interest, and this results in getting the most for their hard-earned dollars. Buying a car with cash sounds like great advice in theory, but when it comes to real-life situations, it’s not always practical. Life is full of other needs and expenses that eat up the family budget. Cars are a part...

6 Things You Should Always Negotiate Pricing On

If you’re like me (and probably everyone else for that matter), I’m always looking for the best deals when it comes to making a buying decision on a product or a service. But I always take it a step further by negotiating the final price: It’s all part of my money saving techniques to help keep more money in my pocket. I know some of you may be a little timid or shy or even embarrassed when it comes to negotiating prices on items, but being able to...

Auto Loan Defaults Reach Lowest Mark in 11 Years

Whether you’re buying a car or borrowing for college, no matter what the loan is for, for the lenders it all comes down to one word: Risk. They examine not only to your credit history, but the history of everybody in your credit score, and how the entire loan sector is behaving, before you get a loan, and they do it constantly. And, just recently, the auto loan sector made itself very, very appealing to lenders. Simply put, auto loans are at their lowest...

How to Find Auto Loans for People with Bad Credit

If you’ve got bad credit, you can’t be faulted for thinking that nobody will give you any loan, even if you need to get on the road for your job. But getting an auto loan is easier than you think, and easier than the conventional wisdom you’ll find online would have you believe. Here’s how to do it. Know Your Budget Start with what you’re bringing home every month. After all, there’s no point in buying more car than you need at a price you can’t afford....

Credit Unions Making a Stronger Push for Your Auto Loan Business

Auto financing is a booming industry, these days, and everybody wants the opportunity to help you buy a new car. Among those lenders is your local credit union … and don’t be surprised if they start aggressively looking for your business. But should you take a loan from a credit union? Credit Unions And Dealerships Credit unions are actually heavily involved in your local dealership already, most likely. Most dealerships, especially independent ones,...

New Data Shows Super Prime Borrowers Fueling Auto Loan Frenzy

If you pay attention to the financial news, you’ve probably heard concern about how, and why, the auto financing market is expanding. Some are worried that we’re seeing, in smaller scale, a repeat of what happened in the mortgage markets in 2008. But analysis has shown that what’s driving the automotive financing market is not the borrowers everyone thought. The Big Time Experian, one of the three key credit bureaus in determining who’s the best possible...

Common Questions: Can I Transfer a Car Loan?

Oftentimes on this blog we get questions about how to get out of a car loan. This kind of question can come from many types of situations. Sometimes people have bitten off more than they can chew with their monthly car payments. Sometimes people lose their job and want to transfer the car loan to a potential buyer. And sometimes people want to return the car to the dealer. Whatever the reason is, if you’re looking to get rid of your car loan, you should...

Is it About to Get Tougher to Get an Auto Loan ?

There’s no denying that, right now, it’s a great time for everyone to secure an auto loan. All sectors of the auto loan market are growing, more and more lenders are getting involved, and simply put, if you need a car, you can get one. The question many are beginning to raise, though, is whether or not this credit availability for consumers is about to hit a wall. Loans And Cars You’ve likely heard before that auto financing is in a “bubble” phase, not...